Essent Group Ltd

ESNT

Not Compliant
Exchange
Sector
Headquarters
Group
NYSE
Financials
Bermuda
Mid cap

Essent Group Ltd is not Shariah Compliant because of its involvement in Property & Casualty Insurance (NEC) and related activities.

-

Impure Income*

-

Purification*

-

Zakat*

Financials

Market cap Group
Analysts' Rating
Price Target (Mean)
Price Target (Low)
Price Target (High)
Total Analysts
Mid cap
BUY
$64.00
$58.00
$71.00
9
Revenue Growth
Operating Margin
Net Profit Margin
Quick Ratio
Current Ratio
EPS Growth
5.97%
71.67%
58.69%
0.00
0.00
-4.24%

Shariah Compliance

  • Updated on April 14, 2025
Debt
8.17%
✓
Non-Compliant Assets
✓
Impure Income

AAOIFI Rulebook:

  • Non-compliant Liabilities (like Interest-based Debt) < 30% of Market cap
  • Non-compliant Assets (like Interest-based Investments) < 30% of Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: AAOIFI SS21

Debt
9.43%
✓
Impure Income

S&P Sharia Rulebook:

  • Interest-based Debt < 33% of 36-mo avg. Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: S&P Shariah Methodology

Debt
8.68%
✓
Impure Income

Dow Jones Islamic Market (DJIM) Rulebook:

  • Interest-based Debt < 33% of 24-mo avg. Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: DJIM Methodology

Debt
6.95%
✓
Cash
1.85%
✓
Cash & AR
1.85%
✓
Impure Income

FTSE Shariah Rulebook:

  • Interest-based Debt < 33.33% of Total Assets
  • Cash and interest-bearing items < 33.33% of Total Assets
  • Accounts receivable and cash < 50% of Total Assets
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: FTSE RUSSELL

Debt
6.95%
✓
Cash
1.85%
✓
Cash & AR
1.85%
✓
Impure Income

MSCI Islamic Rulebook:

  • Interest-based Debt < 33.33% of Total Assets
  • Cash and interest-bearing items < 33.33% of Total Assets
  • Accounts receivable and cash < 33.33% of Total Assets
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: MSCI Islamic Indexes

Impure Income Breakdown

-
-
Interest Income
-

Note on Purification and Zakat:

  • Purification and Zakat (for long-term investing) calculations are in USD per share and based on AAOIFI methodology. AAOIFI requires purification every financial period (e.g. quarterly). 
  • If you follow S&P Shariah’s Dividend-only purification, then remove the impure income % from the dividends you receive. No purification required for non-dividend paying stocks, according to S&P Shariah.
  • For Zakat, if you did not invest in a company from a long term perspective, then consider the shares as trading goods and give 2.5% of the total value if a year has passed on them. 

Company Profile

Essent Group Ltd. is a Bermuda-based holding company. The Company, through its wholly owned subsidiaries, offers private mortgage insurance and reinsurance, and title insurance and settlement services to serve the housing finance industry. Through the subsidiary, CUW Solutions, LLC, it offers mortgage insurance and provides contract underwriting services on a limited basis. It also offers mortgage-related insurance and reinsurance through its Bermuda-based subsidiary, Essent Reinsurance Ltd. The Company provides private capital to mitigate mortgage credit risk, allowing lenders to make additional mortgage financing available to prospective homeowners. Its products and services include Bermuda-Based Insurance and Reinsurance, Title Insurance and Settlement Services, Mortgage Insurance, and Contract Underwriting. It offers two types of private mortgage insurance, namely primary and pool. Its subsidiaries include Essent Reinsurance Ltd. and Essent Irish Intermediate Holdings Ltd.

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